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On Monday, Lucid (NASDAQ:LCID) Capital Markets increased its price target on Perspective Therapeutics Inc (NYSE:CATX) shares to $20.00, up from the previous $15.00, while maintaining a Buy rating on the stock. The $259.2 million market cap company currently trades at $3.83, with analyst targets ranging from $6 to $21. According to InvestingPro data, the stock maintains a strong financial position with more cash than debt on its balance sheet. The revision follows Perspective Therapeutics' recent presentation of additional data for their leading drug candidate, VMT-α-NET (Pb-212 radioligand), from a Phase 1/2 study targeting neuroendocrine tumors (NET), which took place last week at the ASCO GI 2025 conference.
According to Lucid Capital Markets, the new data showcased the drug's potential to be best-in-class, addressing some of the concerns previously noted by the firm. The updated information comes after initial efficacy results had dampened investor sentiment late last year, branding Perspective Therapeutics as a "show me" story in the eyes of the market. However, the latest findings appear to have partially alleviated these worries.
Following the data release, Perspective Therapeutics' stock experienced a modest surge, climbing 10% compared to a 1% decline in the XBI biotech index on Thursday. The stock has shown significant momentum, posting a 25.71% gain year-to-date and a 16.91% return in the past week. InvestingPro analysis indicates the stock typically trades with high price volatility, offering potential opportunities for active investors. Despite this uptick, the stock price reportedly remains close to the company's cash level. Lucid Capital Markets suggests that the stock is a buying opportunity at current prices, especially considering the possibility of further positive data and the potential for higher dosing due to the drug's safety profile.
The analyst from Lucid Capital Markets expressed increased confidence in the therapeutic asset, which led to the raised price target. The firm reiterated its Buy rating, signaling its optimism about the stock's future performance based on the evolving data and the drug candidate's promising safety and efficacy profiles. For deeper insights into CATX's valuation and growth potential, investors can access comprehensive analysis and 10+ additional ProTips through InvestingPro's detailed research reports.
In other recent news, Perspective Therapeutics has seen significant developments in its operations. RBC Capital adjusted its outlook on the company, reducing the price target to $16 from the previous $25 while maintaining an Outperform rating. This follows the initial data from the ongoing VMT-α-NET Phase I/IIa study. The data indicated promising signals regarding the treatment's efficacy but also pointed to the necessity for patience in dose optimization.
BofA Securities downgraded Perspective Therapeutics' stock from a 'Buy' to a 'Neutral' rating, citing challenges with the company's VMT-α-NET and VMT01 treatments. UBS initiated coverage on the stock with a 'Buy' rating and a $20.00 price target, estimating that the VMT-α-NET program could achieve peak sales of $1.2 billion. Truist Securities maintained its 'Buy' rating and $21.00 price target for the stock, suggesting that the negative reaction to the melanoma data presents an opportunity for buyers.
In addition to these analyst updates, Perspective Therapeutics announced changes in its executive roles and entered into a Controlled Equity Offering Sales Agreement with Cantor Fitzgerald & Co. and RBC Capital Markets. The company also announced plans to increase the number of participants in Cohort 2 of their VMT-α-NET study from 7 to 47.
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